“SETTLEMENT SMARTS” FOR SELF-REPRESENTED LITIGANTS

How To Use Settlement Processes Knowledgeably and Effectively Dr Julie Macfarlane for the NSRLP July 2014

TABLEOFCONTENTS

1. Whyconsidersettlement?

2. Settlementbasics2.1 Settlementmustbeyourdecision2.2 Settlementshouldbeaninformeddecision2.2 Settlementagreementsshouldbeputintowriting2.3 Courtrecognitionofsettlementagreements2.4 Waystothinkaboutsettlement

3. Settlementprocesses3.1 Judge-led settlement conferences (trial management, case

management)3.2 Mediation3.3 NegotiationandformalOfferstoSettle

4. Judge–ledsettlementconferences4.1 Purposeandstructure4.2 Howtoprepareforasettlementconference4.3 Someadviceonstrategy4.4 Reachinganagreement4.5 Noagreement4.6 Case conferences and trial management conferences

5. Mediation5.1 Purposeandstructure5.2 Howtoprepareformediation 5.2.1 Goalsandinterests 5.2.2 Disclosure

5.2.3 AssessingyourBATNA5.2.4 Preparinganopeningstatement

5.3 Someadviceonstrategy5.4 Reachinganagreement5.5 Noagreement

6. NegotiationandOfferstoSettle

6.1 Purposeandstructure6.1.1 Informalnegotiations6.1.2 FormalOffertoSettleprocedure

6.2 Howtoprepareanoffer6.3 Someadviceonstrategy6.4 Reachinganagreement6.5 Noagreement

7. AdvicefromotherSRLs7.1 Keepyoureyeintheprize–resolution7.2 Youarethefinaldecision-maker7.3 Consideringsettlementisnotasignofweakness7.4 Bepragmatic7.5 Usingmediation7.6 Usingsettlementconferences

Acknowledgementsandthanks

GratefulappreciationtoHannahBahmanpourandKatrinaTrask,whoassistedmeinthedevelopmentofthisprimerandinallbackgroundresearch.ThanksalsoforvaluablefeedbackonearlierdraftstoHeatherHui-Litwin,KariBoyle,HilaryLinton,SueRice,RobHarvieandBernieMayer.

Thisprimerisdesignedtohelpyoutobeeffectiveinsettlementprocessesandtolearntohowtobe“settlementsmart”,whetherthereisanotherself-representedlitigant(“SRL”)ontheothersideofyourcase,oralegalrepresentative.

1. Whyconsidersettlement?Almostall(inmanycourtsmorethan95%)offamilyandcivilcasessettlebeforeafinaltrial.Oftenthisoccursjustbeforeatrialisscheduledtobegin,whenanenormousamountoftimeandefforthasalreadybeenputout.Goingtotrialmeansanotherbigincreaseincostsandofcoursethereisalwaysuncertaintyabouttheoutcome.Familyandcivilcourtsnowofferanumberofdifferentprogramsthatareintendedtoencouragesettlement.Ifalmosteverycaseiseventuallygoingtosettle,itseemslogicalthatitwouldbebetterforeveryoneifthishappenedsooner–whenyouhaveuseduplesstime,moneyandenergy.Itmayseemfar-fetchedattheoutsetforyoutothinkaboutanagreementwiththeotherside,especiallyifyouthinkthattheirdemandsareveryunreasonable.Butyouwillprobably-eventually-settle.Therearesomeclearadvantagestoreachinganagreementratherthanaskingajudgetodecideforyou.Settlementgivesyoucontrolovertheoutcome–andagreementscanbemoredetailedandspecifictoyoursituationthanwhatajudgewilldecide–forexampleparentingplansorwaystosetupsupportthatfactorintaximplications.AsaSRL,thetimingofsettlementshouldreflectyourneeds.Litigantswhoarerepresentedbylawyersareoftentoldtowaituntillaterintheircasetoproposenegotiatingorsettlementterms.Thatmaybegoodadvice–sometimesmoreinformationcomesoutasthecasemovesforward,andsometimespeopleareabletothinkmoreconcretelyaboutsettlementlaterinthecase,whentheyaremoreawareofthecostsofcontinuingwithlitigation.Butsometimeswaitinglongertothinkaboutpossiblesettlementjustmakeseveryoneangrierandmorefrustrated.

AsaSRL,justasanyotherlitigant,youareencouragedto

“(B)esmartaboutconsideringsettlementoptionsearlyintheprocess.Ifyousettleyouwillnotgeteverythingyouwanted–butyoumaygetenoughtomakeitworthwhileavoidingalongandexhaustingbattle,withanuncertainoutcome.Thisisaverypersonaldecisionandyourideasaboutsettlementmaychangeovertime.Itisimportanttocontinuallyrevisitthisquestionandassessthepossibilityoftheothersideacceptingaproposalfromyoutosettle.”(CopingwiththeCourtroom:EssentialInformationandTipsforSRLs,NSRLP2014).

2. Settlementbasics

2.1 Settlementmustbeyourdecision

Anyagreementyoureachtosettleyourcasemustbevoluntary.Youcannotbeforcedorcoercedintomakinganagreementandifyouare,itcanbechallengedincourt.Thisdoesnotmeanthatyouwillbethrilledwitheveryaspectofyourdecisiontosettle–butyoumustbewillingtolivewithit(see2.5below)

2.2 Settlementshouldbeaninformeddecision

Talkoveranysettlementproposalwithafriendwhounderstandswhatisimportanttoyou,orifpossiblewithalawyerwhomaybewillingtoprovidethisserviceonan”unbundled”basis1.Giveyourselftimetoconsideralltheimplicationsoftheagreement,bothimmediateandlonger-term.Andnomatterwhatadviceyoureceive,rememberthatthefinaldecisionmustrestwithyou.

2.3 Settlementagreementsshouldbeputintowriting

Asettlementagreementshouldbeputintowriting.Thiswillallowyoutocheckthatwhatyouagreedtoverballyhasbeenrecordedproperlyandwillhelpavoidfuturedisputesoverthecontentoftheagreement.

1Thatis,bychargingyouanhourlyrateforspecifictasksusinga“limitedscoperetainer”.Forfurtherinformationseehttp://www.cba.org/Alberta/main/pdf/limited%20scope%20retainers_FINAL.pdf

2.4 Courtrecognitionofsettlementagreements

Ifyouagreeontermsthatcanbeenforcedbyacourt(e.g.,paymentofmoney,distributionofproperty,custodyandaccessarrangements),asettlementagreementcanbebroughttocourtandturnedintoacourtorder.Thisisoftencalleda“consentorder”.Inthiswayanybreachoftheagreementinthefuturecanbereferredbacktothecourt.

2.5 Waystothinkaboutsettlement

Herearefoursettlement“realitychecks”fromthedataintheNationalSRLStudy(2013)(forfurtheradvicefromotherSRLs,seesection(7)):

2.5.1 Manylitigantsbelievethattheircaseis“different”–becauseofcourseitisuniqueandpersonaltothem–andthatajudgewill“obviously”sidewiththem.Unfortunately,legaloutcomesarenevercertain,whichiswhysomanycasessettlebeforetrialwhentherisksandcostsofproceedingbecomemorerealandimmediate.Thisprimerencouragesyoutothinkaboutsettlingearlier,evenifyouareconvincedajudgewouldruleinyourfavor.

2.5.2Bearinmindthatasettlementagreementwillrarelygiveyou–ortheotherside–everythingyouwant.Thismaysoundobvious,butitisworthrepeatingthatthereisnoincentiveforanyonetosettlebyagreeingtoeverythingtheothersidewants–theymightaswellgototrialandletthejudgedecide.

2.5.3Manylitigantsadoptastrategyof“waitingitout”.Theyhopethatiftheypersevere,theothersidewilleventuallygiveup.Thismayworkout–oritmaynot.Inthemeantime,youwillbestuckinaprocessthatwillcostyoutimeandmoneyandsapyourpatience.

2.5.4 Gettingangry,howeverunderstandable,isusuallycounter-productive.Youwillachievemoreifyoucanexpressyourselfinacalmandreasonedmannerthatsuggestsconfidenceandcompetence. 3. ProcesschoicesWhenfamilyandcivilcasessettle,asmostofthemwilldobeforetrial,theyusuallydosoasaresultofoneofthreetypesofprocedures.

3.1 Judge-led settlement conferences (sometimes called caseconferencesortrialmanagementconferences)

3.2 Mediation3.3 NegotiationandformalOfferstoSettle.

Youmay find yourself considering all of these approaches at differenttimes in your case. Depending on the court, youmay be required toparticipateinoneormoreoftheseprocesses,oritmaybeyourchoice.Thisprimercanhelpyoudecidewhetherandhowtoparticipate.4. Judge-ledsettlementconferences4.1 Purposeandstructure

Settlement conferences are offered inmany family and civil courts. Insome jurisdictions they aremandatory and in others the partiesmustrequestasettlementconference.Asettlementconferenceisnotatrial.Thesettlementjudgewillnotreviewevidencepresentedbyeitherside.Therewillnotbearulingoranordermadebythejudge.Asettlementconferenceisconductedbyajudgewhoactsmorelikeamediator–tryingtofindareasofagreementbetweentheparties.Notethatifyourcasegoestotrialinthefuture,thesettlementconferencejudgecannotconductitandcannotbecalledasawitness.Thesettlementconferenceisdesignedto“flushout”thepotentialforasettlement,orapartialsettlementofsomeoftheissuesindispute.Forexample, you may be disputing both child support and accessarrangements, and the settlement conference judge may explorewhetheroneof these issues couldbeagreedandresolved, leaving thecasetofocusonwhatremainsunsettled.Asettlementconferenceusuallytakesplaceinaboardroominthecourtor a courtroom and is scheduled for between thirty minutes and anhour.Thefollowingisahelpfulgeneraldescriptionofthegoalsofasettlementconference.

“Thepurposeofyoursettlementconferenceisto:

a. Resolvesomeoralloftheissuesintheaction.b. Encouragesettlementoftheaction.c. Helpyougetreadyfortrial.d. Providefulldisclosureamongthepartiesofalltherelevantfactsandevidence.”2

4.2 Howtoprepareforasettlementconference

Agoodplacetobeginistoreviewthematerialyouhavereceivedfromtheothersidethatmayberelevanttosettlement.Asettlementconferenceisalsoanopportunitytoaskforanyfurtherdocumentsthatwillhelpyoumakeaproposalorassessthefairnessofanofferfromtheotherside.Youshouldalsoconsiderwhattheothersidemightwantfromyouiftheyaregoingtobewillingtosettle.Aretherefurtherdocumentsthattheyhaveaskedforwhichareimportanttothemandyoucanbringwithyou?Istheresomethingyoumightoffertothemthatmightsetupamoreproductiveinterchange?Itisimportanttorememberthatyouarenotgoingtobepresentingyourevidenceandargumentsatasettlementconferenceasyouwouldinatrial.Thefocushereisonexploringsettlement.Whenyoupreparewhatyouwillsaytothejudge,askyourselfwhats/heneedstoknowandtounderstandaboutyourcasetohelpyoumakeareasonablesettlement–nothowtoconvincehimorherthatyouhavethebestlegalarguments.Yourbestpreparationforasettlementconferenceisnotreadinglotsofcasesandrules,butthinkingaboutyourmostimportantinterestsandconcernsandwhatyouneedtomeetyourgoals–aswellaswhatmotivatestheothersideandwhattheymightneedinordertosettle.

4.3 SomeadviceonstrategyItisimportanttoshowthejudgethatyouareseriousaboutexploringsettlement.Evenifyoufeelskeptical–forexample,ifyouhave2OntarioSuperiorCourtofJustice,OfficeoftheChiefJustice2012

approachedtheotherpartybeforeandtheyhavedismissedtheidea-thejudgewillbemuchmoresupportiveandhelpfultowardsyouifyoustateyourcommitmenttotryingtofindafairsettlement.Youropeningstatementtothejudgeisagoodopportunitytodescribeyourcommitmenttoafairsettlement,toexplainyoursettlementgoals,andwhytheseareimportanttoyou.Trytoacknowledgeinarespectfulwaytheotherside’sgoalsaswell.Trytoframewhatyouwanttoaccomplishasgoals–whichyoucanexpressclearlyandfirmly-ratherthanasdemandsorentitlements.Forexample,ratherthansaying“Iamentitledtomoreaccesstomykidsandtheremustbenolastminutechanges”sayinstead“Iwanttoreachagreementonanaccessschedulethatcanenablemetoplanaheadandavoidtheanxietyoflastminutechanges”.Or,ratherthan“IdemandpaymentbeforeIcompleteworkonthedeck”,insteadtry“Ineedtobepaidformytimeandmaterialsinordertobeabletomoveforwardwithmycommitmenttofinishthejob.”Youshouldalsomentionanypreviouseffortsyouhavemadetoreachanagreement-forexamplemakinganoffer,producingdocuments,offeringtocompromiseonsomething-eveniftheothersidedidnotrespondordismissedyourefforts.Itisalsoconstructivefortheothersidetohearyousaythatifafairsettlementcanbereached,youarecommittedtofollowingthesetermse.g.committingtofollowinganagreedaccessscheduleforco-parenting,oragreeingtocompletingajobforacustomer.Youwanttoshowthejudgeandtheothersidethatyouare“settlementsmart.”

4.4 Reachinganagreement

Ifyouaresuccessfulinresolvingallorsomeofyourdisputethroughasettlementconference,anagreementwillbedraftedtorecordthetermsofthatagreement.Itisveryimportantthatyouseethisdraftagreementbeforeitissentbacktothesettlementjudge,becauseatthispointitwillbecomeaformalorder,justasinatrial.

TheNationalSRLStudy(2013)cameacrossanumberofinstancesinwhichSRLsdidnotseethedraftagreementbeforeitwasreturnedtothecourt,andthenfeltthattheorderwasinaccurateandwantedtocontestsomeoftheterms.Trytoavoidgettingintothissituation.Ifyouarerepresentingyourselfbuttheothersidehasalawyer,thesettlementjudgemayaskthelawyerontheothersidetodrafttheagreement.Inthiscase,makesurethatyoumakeitcleartothejudgeandcounselfortheothersidethatyouwanttobeabletoreviewthedraftagreementbeforeitisturnedintoanorder.Youmaywanttoconsideraskingsomeoneelsetolookatthedraftagreementwithyou,and/orconsideringpurchasingsomelimitedadviceservicesfromalitigationcoachoralawyerwhooffers“unbundling”(servicebythehouroraflatfee).3

4.5 NoagreementIfyoudonotresolvethedisputethroughthesettlementconference,youcancontinueinthelegalprocess.Nothingsaidorproposedbyinthesettlementconferencecanbeusedatatrial.Ifnosettlementisreached,thesettlementjudgemaystillmakeanorderregardingprocedure(forexample,fortheproductionofmaterials)thatsheorhebelieveswillspeedthecaseupandgetyourcaseclosertofinalresolutionattrial.Youcanalwaysopenupnegotiationorthepossibilityofmediationagainbeforeyougobacktocourt(see(5)&(6)below).

4.6 CaseconferencesandtrialmanagementconferencesInsomeprovinces,thesetermsareappliedtoeventsthatlookalotlikesettlementconferencesbuthaveaslightlydifferentpurposeand focus(although each can also be used to try to settle). A caseconference isoftenthefirstofaseriesofsettlementconferences,andtriestogettheinitial procedural issues (for example disclosures and the exchange ofdocuments)dealtwith,aswellasidentifyanyurgentmattersthatneedtobeaddressedimmediately.

3Seenote1above

OneOntariojudgeoffersthefollowingadviceaboutpreparationtoSRLscomingtoafirstcaseconference:

“(Make)alistofallinformationanddocumentsthattheybelievetheyneed fromtheopposing litigant inorder for themtodecidewhatoutcomewouldbeacceptabletothem.Ifthejudgehasthislistfromthem,itcanbeincorporatedintoanorderrequiringtheothersidetoproducethe informationordocumentswithinasettime.”

Atrialmanagementconferenceanticipatesatrial,andsoisusuallyscheduledlaterinthecase.Itaimstoidentifytheissuesthatthelitigantsneedthecourttodecideatatrial,whatwitnesseseachwillcalltoprovetheirpositiononthoseissues,thetimerequiredtopresentthewitnesses'evidence,andasummaryoftheargumentsthatwillbepresented.5. Mediation

5.1 PurposeandstructureInmediationanimpartialthirdparty(themediator)helpsthepartiestonegotiatewithoneanotherovertheissuesindispute,andifpossibletocomeupwith a deal that they can both livewith. Unlike a settlementconference, the mediator is not usually a judge, but a trainedprofessionalwithrelevantexperience.Someprovinces(forexampleOntario)nowofferfreemediationtoanyfamilylitigant.Askinyourcourtaboutthis.Mediationmay take place in a specially set aside private room in thecourthouse (but not in a courtroom). Or it may take place in themediator’s offices or another neutral location. Most mediations arescheduled for between one and three hours, and there may be morethanonesession.Thatmaysoundlikealongtime,butyouwillprobablyneedatleastanhourormoretoreallygetintotheissues,breaktheiceandbegintoexplorethedetailsofapossiblesettlement.

Themediatorwillnotmakeanydecisions foryou,andyoushouldnotallowyourselftobepressuredintomakinganagreementunlessyouareclear that this iswhatyouwant.With theOKof themediator and theotherside,youcanusuallytakesomeonewithyoutomediation,eitheralawyerorsimplyafriendorally(seealsobelowat5.3).In most mediations, anything that is said is confidential and“inadmissible” in a future trial.While you can always repeat anythingyou have said or proposed, you cannot refer to any proposal that theother sidemade if you go to trial. In addition, normally themediatorcannotbecalledasawitness.Thepurposeof thisrule is toencouragefrankness and openness inmediation. Less commonly, the rule is theoppositetotheabove–thatis,anythingthatissaidinmediationcanbeused in a future trial. You should always clarify by asking “is thismediationprocess‘open’(thelatter)or‘closed’(theformer)?”

5.2 HowtoprepareformediationItisimportantthatyoupreparethoroughlyformediation,justasyouwouldtakethetimetoprepareforamoreformalcourtappearanceorsettlementconference.Youwillgetmoreoutofmediationifyouapproachitwithsomeconcreteideasforthetypeofdealyoumightbewillingtoaccept.Itisalsoimportantinpreparingtothinkaboutwhattheothersidemightbelookingforandmightaccept.

5.2.1 GoalsandinterestsAgoodfirststepistowriteoutyourgoalsandinterests.Ratherthansimplyalaundrylistofwhatyouwant,usethisasawayofthinkingaboutwhatisreallyimportanttoyou-andwhy.Inmediationitwillbeimportantforyoutotalknotonlyaboutwhatyouwant,butwhyyouwantitandwhatismostimportanttoyou.Ifyoucangettheothersidetosharethesameinformationwithyou,youwillhaveamuchbetterideaofwhatismotivatingthem,andoftheparticularchallengesthatneedtobeovercomeinordertoreachanagreement.Next,reviewthelistyouhavecreatedandtrytoidentify(1)yourprioritiesand(2)any“bottomlines”thatyoufeelareessentialtoafairsettlement.Your“bottomlines”arenotyourdesiredoutcomes–they

shouldbewhatyouthinkyoucannotsettlewithout.Trytoseparatethesetwothingsifyoucan.Trytoanticipatetheotherside’sdesiredoutcomesandbottomlinesaswell.Trytoassesswhichitemsyoucouldbemoreflexibleon.Ifyoumakeeachoneofyourproposalsnon-negotiable,itisunlikelythattheothersidewillbeinterestedinmakinganagreement.Anyagreementyoureachisprobablygoingtobeasetoftrade-offsandcompromisesandthisisachanceforyoutobegintothinkaboutthisinyourowntimeandspace.Ifyouhavesomeonewhoknowsyouandyourcasewellwhocanhelpyoutodothis,itwouldprobablybeusefultoreviewyourlistwiththem,andtoaskthemtohelpyouthinkaboutyourprioritiesandbottomlines.

5.2.2 Disclosure

Somemediatorsrequireyoutobringspecificdocuments(e.g.financialrecords)withyoutothemediationsessioninorderthatbothsidescanhavethenecessaryinformationtobeabletosettle.Checkwithyourmediatorinadvancewhattheyexpectyoutobringandwhatinformationyouneedtheothersidetobring.

5.2.3 AssessingyourBATNA

AnothertoolthatmanypeoplefindhelpfulbeforenegotiatingistoassessyourBATNA,oryourBestAlternativetoaNegotiatedAgreement(Fisher&Ury,1991).Inotherwords,whatislikelytohappenifyoudonotreachanagreementinmediation?Thisassessmentshouldincludearealisticlookathowlikelyitisthatajudgewillagreetogiveyouwhatyouareaskingfor,aswellashowlongthismighttakeandhowmuchitwillcosttogotoatrial.Thisisspeculativeofcourse,butyoucanmakesomeinformedbestguesseshere.ItisalsoimportanttoconsideryourWATNA(theworstalternative…)togetarealisticbalancehereandachieveanhonestassessment.

YourBATNAandWATNAwillgiveyouanimportantbenchmarkagainstwhichyoucancompareanyoffertheothersidemakes.

5.2.4 Preparinganopeningstatement

Itisagoodideatoprepareastatementthatyoucanmakeatthebeginningofmediation.Thismaybenomorethan3-4minuteslong,andshouldfocusonwhatyouhopetotalkaboutinmediation.Avoidbeginningwithaspecificdemand(seebelow)–trytofocusinsteadonwhatisreallyimportanttoyouandwhy.Ifpossible,includesomethinginyouropeningstatementthattellstheothersideclearlyanddirectlythatyoureallywanttoexplorethepotentialforresolution.Experiencedmediatorswilltellyouthatstatingasinceredesiretotrytofindaresolutionatthestartofmediation–andifpossibleacknowledginghowdifficulttheconflicthasbeenforbothparties-makesitmucheasierfortheothersidetorespondinkind,andparticipateingoodfaith.

Youmayhavespecificconcernsaboutmediatingwiththeotherside.Theymayhavepressuredyouintoadecisioninthepast.Ortheremaybeahistoryofdomesticviolence.Ifyouhavetheseconcernsyoushouldraisethemprivatelywiththemediatorbeforethemediationsession.Oftenamediatorwillasktomeetwithyouprivately(sometimescalledan“intake”or“screening”meeting)beforethesessioninordertodiscussanyspecialchallengesinyourcase(manymediationprogramsusethismeetingtoidentifysuchproblemsinadvanceofajointsession).Thisisyourchancetoaskquestionsandraiseconcernsyoumighthaveaboutmediationinaconfidentialprivatemeeting.Thisisalsoagoodtimetocheckwithyourmediatorthatyoucanbringsomeonewithyoutothemediationsessionforsupport.Thinkaboutwhomightbeagoodpersontoaccompanyyoutomediation.Thiscouldbeafriendorafamilymember,oralegalrepresentative.Considerwhowouldhelpyoutofeelcalmandsupportedinthemeeting,ratherthanwhocanspeakforyou.Itislikelythatthemediatorwillaskyoutospeakforyourself,butbringingan“ally”intotheroomisnonethelessanimportantsourceofsupport.

5.3 Someadviceonstrategy

Mediationisachanceforyoutolearnmoreaboutwhattheothersidewantsinordertosettleandtoexplainwhatismostimportanttoyou,andwhy.AsStevenCoveysuggestsinTheSevenHabitsofEffectivePeople(1989)“Seektounderstandbeforebeingunderstood.”Youmay

feelmorepowerfulwhenyouaretalking,butexperiencedmediatorswilltellyouthatlisteningandaskingquestioningisoftenmuchmoreeffectiveinachievingasettlementthatworksforyou–becauseithelpsyoutounderstandwhatisreallyimportanttotheotherside.

Tellingtheothersidethatyouthinktheyareaterriblepersonisnotgoingtogetyouasettlement.Youmightthinkthis,butsayingitoutloud,howeverjustifiedyoumayfeel,willmakeitimpossibleforthemediationtocontinueconstructively.Expressionsofangerarelikelytoalienatetheothersideandmake"selling"yourpositionmoredifficult.

Trynottoopenwithabigdemandthattheothersidewillprobablyreject.Insteadwaittohearwhattheothersidehastosayaboutwhatisimportanttothemandspendtimemakingsureyoueachreallyunderstandtheirconcernsbeforemovingontodiscusssolutions.Afterall,iftherewereeasyorobviousanswers,youwouldhavealreadyfoundthembynow.

Evenifyoufeelthattheothersideisnottreatingmediationasseriouslyasyouare,trynottoreacttooquickly.Ifyoufeeltheconversationisnolongerproductive,youcanaskforthesessiontobeover.Butdon’tjumpthegun–thefirst30minutesofmediationareoftenverytense.Trytobepatientandkeepaskingquestionstogetasmuchinformationaspossiblefromtheotherside.

Mediationisprimarilyabouttalkingtotheotherside,ratherthanpresentingyourcasetothemediator.Howeverifyoufeelthataprivateconversationwiththemediatorwouldbehelpful,orifyousimplyneedashortbreakfromthediscussion,youcanaskthemediatorfora“caucus”atanytimeduringthesession.Thisgivesyouaprivateopportunitytorefineyourproposalsanddiscusswiththemediatorhowrealistictheyare.Allthesestrategiesrequireyoutobecalmandcenteredandyouwillneedtoprepareyourselfemotionally.Mediationcanbechallengingandsometimesstressful.Youwillprobablyheartheothersidemakestatementsthatyoubelievetobeunfair,inaccurate,orhurtful.Ifyoucananticipatesomeofthis,itwillbeeasierforyoutostaycalmandnotallowyourselftobethrownoff.Thinkinadvance-whatisgoingtobehardforyou?Whatwillpushyourbuttons?Howmightyoupushtheother’sbuttons?Whatwillhelpyoutostayfocusedandcalminthe

mediation?Itiseasytobereactivetotheothersideandtobecomemoreconfrontationalandrigidasaresult.Trytostayfocusedonwhatyouwantandneed(above),andcontrolhowemotionalyourreactionsare.

5.4 ReachinganagreementIfyoureachanagreementinmediation–onallorsomeoftheissuesindispute–youshouldconsidertaking24hourstoreviewtheproposedtermsandperhapstalktoyoursignificantotherorfriendsbeforesigning.This“timetoreflect”isquitecommon,soyoushouldnotbeafraidtoaskforthis.Youwanttobesurethatyouarecomfortablewithwhatyouareagreeingtobeforeyoucommittothepreciseterms.Whoeveryoutalktheagreementoverwith–afriend,yourpartner,evenalawyeronan“unbundling”basis4-themostimportantconsiderationshouldbehowfairandpracticaltheproposalis.Besureyouunderstandallitsimplicationsbeforeyoucommit.Anagreementreachedinmediationcanbewrittenupandsubmittedtothecourttobeturnedintoacourtorder.Anytermsthatcanbelegallyenforced – for example, an agreement to pay support, but not anagreement tomakean apology -will thenhave the same force as anyother court order, e.g. there will be consequences for breaking theagreement. Youmay decide that youwould like a lawyer to draft anagreementforyou,ortoreviewanagreementthathasbeendevelopedinmediation, in order to give you an assessment of how close it is towhatacourtmightdecideatatrial5.

5.5 Noagreement

Ifmediationisunsuccessfulinresolvinganyoftheissuesindispute,youmaycontinueinthelegalprocess.

4Seenote1above5NotealsothatLegalAidOntarionowoffersacertificateforindependentlegaladvicefromalawyerbeforeduringandaftermediation.Theremaybeasimilarprograminyourprovince.

6. NegotiationandOfferstoSettle

6.1 Purposeandstructure

Themostcommonwaythatlawsuitsaresettled–evenwiththeintroductionofsettlementconferencesandmediation–isstillbylawyersnegotiatingwithoneanother.

AsaSRLyouhavethesamereasonstoconsidernegotiationasarepresentedparty.Youmaydecidethatyouwanttoopenupnegotiationswiththeothersideoverapossiblesettlement,partialorfull.Thismaybebecausethereisanimmediateissuethatneedsresolution,evenifthiswillbeatemporarymeasurewhileotherissuesareworkedout(forexample,paymentofchildsupportoraccessarrangements).Oryoumaybelievethatyoucanmakeaproposaltosettletheentirematter,includingthequestionofcosts.

Makinganoffertosettleinanegotiationdoesnotadmitanyfault.Rather,itisawayoftryingtosettleadisputebasedonwhatyouthinkisfair,practicable,andreasonable.

Negotiatingasettlementcantakeplaceinformally,and/orusingtheOffertoSettleprocess.ThedifferenceisthatanOffertoSettleisgovernedbyrulesofcivilprocedureineachprovince,andhascostconsequencesiftheofferisrefusedandthereisatrial.

6.1.1 Informalnegotiations

Researchonhowlawyersnegotiateshowssomecommonpatterns,includingthelikelihoodthattherewillbeseveraloffersexchanged–forexampleanofferfollowedbyacounter-offer–beforeanagreementisreached.Negotiationisusuallyconductedat“arms-length”,thatisbyletterorotherwrittencommunication.Sometimesnegotiationsmaybeconductedbyphone,especiallywherethelawyersknowoneanotherfrompreviouscasesandfeelcomfortablecommunicatingthisway.

AsaSRL,youcaninitiateinformalnegotiationsinanumberofways.Youcandraftaproposalandsenditovertotheotherside“withoutprejudice”.Thismeansthatnothingintheofferwillbeusedinatrial,anditisawayofopeningupinformaldiscussionswithoutrisk(muchas

inmediation,aboveat5.2).Oryoucouldtrycallingthelawyerontheothersideandsuggestingameetingtodiscussapossiblesettlement.

6.1.2 FormalOffertoSettleprocedure

AllcourtsallowpartiestomakeformalOfferstoSettletotheothersideundertheirRulesofCivilProcedure6

ThedifferencebetweenanOffertoSettle,andaninformalnegotiationwith“withoutprejudice”offersgoingbackandforth,isthatanOffertoSettlehascostconsequencesifitisrefused.IftherehasbeenaformalOffertoSettleandthiswasrefused–onlytohavethecourtmakeanorderattrialthatlooksverysimilarorevenlessfavourablethantheOffertoSettle–thepartywhoturnedtheofferdownmay7havetopaysomeoftheotherside’scosts(calculatedfromthetimetheoffertosettlewasmade).Insomejurisdictions,thecostspayablebythepartywhoturneddowntheOffertoSettlemaybedoubled.

ThegoaloftheOffertoSettleruleistopenalizeapartywhofailedtoacceptanoffer“thatshouldhavebeenaccepted”8andtoencouragepartiestosettlebeforeatrial.

Becauseofthepotentialcostsconsequences,youshouldseriouslyweighanoffertosettleandconsiderwhetherornotitisoneyoushouldaccept.Youmaywanttoaskalawyertogiveyousomeadviceonthisonan“unbundled”basis9.

6.2 Howtoprepareanoffer

Reviewthesuggestionsaboveat5.2inrelationtopreparingformediation.Thesameadviceisrelevanttohowyouwouldthinkaboutandprepareanoffertosettle.

6SeeRule49inOntario,SupremeCourtCivilRule9-1,SupremeCourtFamilyRule11-1inBritishColumbia,Saskatchewan–Queen’sBenchRules–Division5–Settlementusingcourtprocesses,Alberta–RulesofCourt–Division5–Settlementusingcourtprocesses,Manitoba–Queen’sBenchRules–Rule49,NewBrunswick–RulesofCourt–Rule49,NovaScotia–CivilProcedureRules–Rule10,NewfoundlandandLabrador–RulesoftheSupremeCourt,1986–Rule20A7(K.(K.)v.G.(K.W.)2008ONCA4898Hartshornev.Hartshorne,2011BCCA29atpara.25;seealsoGilesv.WestminsterSavingsandCreditUnion,2010BCCA282atpara.749Note1above

IfyouareusingtheformalOffertoSettleprocedure,youshouldconsulttherelevantrulesinyourprovinceorjurisdiction10.AnOffertoSettleistypicallymadeinwritinganddeliveredtotheotherparty(orparties)atanytimeafteralawsuithasbegun.Itisgenerallyvalidor“live”untilitisexpresslywithdrawnorifatimeperiodisstipulatedforacceptanceoftheoffer,untilitexpires.

6.3 Someadviceonstrategy

Ifyoudecidetoprepareasettlementproposal,youwanttothinkabouthowtomakeitattractivetotheotherside,withoutputtingunnecessarypressureonthem.Youwanttoproposesomethingthattheywillseriouslyconsider-sosettingoutyourmaximumdemandsanddescribingthemas“non-negotiable”isunlikelytogetseriousconsideration.Forexample,youcouldsaythatthisisanopeningproposalandyouareopentocounter-offers.Ifyouaredealingwithalegalrepresentativeontheotherside,suggestthattheytakeaweektoconsideryourofferandmeetwiththeirclienttodiscuss.

IfyoudecidetousetheformalOffertoSettleprocedure,rememberthatthepurposeofthisruleistopenalizeapartywhorefusesanofferthatisreasonableand/orclosetowhatacourtwillrule.Yourproposalthenshouldreflectwhatitislikelythatacourtwouldorder.Ifitisverydifferenttowhatisthelikelylegaloutcome,theothersidecaneasilydismissitandtherewillbenocostconsequencesforthem.

Ifthereisalawyerrepresentingtheotherside,youmayfindthattheyareinitiallyuncomfortableaboutnegotiatingwithaSRL.LawyerssometimescomplainthatiftheycommunicatedirectlywithaSRLtheymayaskthemforlegaladvice.Theymayfeelmorecomfortableifyourinitialcontactwiththemisviaemail.Youcanexplainthatyouarepreparingasettlementproposal/OffertoSettle,orjustraisingthepossibilityofaninformaldiscussionandexploringsomeinitialideas.Youshouldbepoliteandcourteous,andexpectyoursuggestionsaboutnegotiationtobetakenseriouslyandrespondedtoappropriately.

10Seenote6above.

6.4 ReachinganagreementIfanofferisaccepted,writtenacceptanceandtheoriginaloffermaybefiledincourt(seeaboveat4.4&5.4).

6.5 Noagreement

IfaformalOffertoSettleisnotaccepted,thiscanaffectcostsawardsattrialafteralltheotherissuesinacase,havebeenaddressed(seeaboveat6.1).7. AdvicefromotherSRLsFinally, here is some of the collected wisdom of other SRLs that wecollectedintheirinterviewsfortheNationalSRLStudy(2013).

7.1 Keepyoureyeontheprize–resolution

Sometimeswecanbecomefixatedonanaspectofsettlementandveryreluctanttogivewayonthis.Trytoconstantlyreassess.Yourreluctancetogivewayonsomething–becauseitfeelsliketheothersideisthen“winning”–maygetinthewayofyougettingonwithyourlife.

“Ihadbeentoldthatmostdivorcesendinsettlement.SoofcourseIdideverythingIcouldtocometoasettlementwithmyex…..(L)etsettlementbeyourmantra.”(AlbertaSRL)“Idon’twanttoplaythesesillylawyersgamesofbackandforth.….Ijustwantthissettledingoodfaith.”(BCSRL)

7.2 Youarethefinaldecision-makerSome SRLs described being excluded from conversations oversettlementwiththeothersideorwithajudge–andthenpresentedwithasettlementtosign.Ofcoursethisfeltverydisempowering.Youshouldseekasmuchadviceaspossibleonsettlementoptions,andlisten to it –butmake sureyou stay in chargeof settlementdecisions

andstrategy.You-andthepersonyouareindisputewith-arethemostimportantplayersinanynegotiationprocess.

7.3 Consideringsettlementisnotasignofweakness

Making a settlement proposal or suggesting negotiation is sometimesseen “…as a sign of weakness, or an admission that the opponent'spositionhas somemerit.This is amajor emotionalhurdle for SRLs. Itviolates their sense of justice in settling/negotiating. They see it as‘lettingtheotherguygetawaywithit.’"(OntarioSRL)

Onthecontrary,experiencesuggeststhattakingtheleadandsettingthetermsandtimingfornegotiationgivesyoupower. 7.4 Bepragmatic

ManySRLsdescribedbeginningwithabeliefthatthelegalsystemwoulddeliverajustoutcome,butcomingtotherealizationthattheirstrategyhadtobealotlessidealisticandalotmorepragmaticthanthis.Forexample,

“Inanadversarialsystem,thesettlementcomesaboutasarisk-benefitsanalysisnotonanybasisastowhatisappropriateintheparticularcase.”(OntarioSRL)

“IwaspreparedtopayalotmoreforthecertaintyofsettlementbecauseIknowhowbadthejudgescanbe.”(Ontariolawyer/SRL)

“Iwastryingtolowerthecostforeverybodybylookingforopportunitiesforsettlement.”(OntarioSRL)

7.5 UsingmediationSomeSRLssaidthattheywantedtodomediation,butcouldnotpersuadetheothersidetoparticipate.Inevitably,mediationonlyworkswhenbothpartiesarewillingtotryitingoodfaith.Howevertherewerealsosomestoriesofsignificantsatisfactionwithmediation.Forexample,one(Alberta)SRLsharedtheoutcomeofamediationinwhichherepresentedhimself:

“(Thedefendants)haveagreedtopaytheamountofmyclaimandprovidedaveryniceapology.…Thisismysecondexperiencewithmediation,andineachcasetheprocesswasveryfair.Theabilitytobeheardwithoutrestrictionsissohelpful,andhealing.Thepositiveoutcomesformysideareabonus.Ifeelsostronglyaboutthefairnessandpotentialsuccessfrommediationthatwerecentlyincludedaconflictresolutionclauseinournewclientcontractsthatnowprovideforprofessionalmediation.” 7.6 UsingsettlementconferencesSRLsdescribedverymixedexperienceswithjudge-ledsettlementconferences.However,wherethisprocesswaseffectiveitdrewplaudits.Forexample,“Inthesettlementconference…initiallyIwastreatedasthoughIdidn’tunderstandanything,untilIshowedIknewalot.ThenIwastreatedasanequal.Oneneedstonotgiveintoemotionalagenda–thatcausesaproblemfortheselfrepresentedperson.…(T)hesettlementconferencefeltgood.Itwasagoodendingtotheprocessandhavingthejudgehelpussolveit.“